Last week was not a very pleasant one for Ugandans with savings in the National Social Security Fund (NSSF). The game of ping pong between the Fund and its savers in Uganda took a new twist when managing director Richard Byarugaba said they would do whatever it took to find the money required to pay midterm access to eligible members once the law has been passed and assented to. This turn around comes after media reported that Byarugaba told Parliament on October 18 that there was not enough readily available money to pay midterm benefits. According to the fund boss the members’ savings were put in long-term investments, such as security bonds, equity and real estate, which cannot easily be turned into cash in the short-term.
Government on September 29 tabled a Bill before Parliament seeking that savers who have attained the age of 45 can access 20% of their savings.
According to Byarugaba Ugx902.5 billion is needed to pay out the 93,000 savers that qualify for the midterm access. This is in addition to Shs900b needed to pay members who qualify for NSSF benefits as provided for in the existing law.
Meanwhile, the Government of Uganda has invited their counterparts from the Ministry of Agriculture and Trade in Kenya for dialogue to clear the air on whether the milk that Uganda exports to Kenya is also imported from a third-party country.
The two neighbours have been embroiled in a standoff that resulted in each country cutting off imports from the other. Kenya accused Uganda of exporting sub-standard items, which led to the standoff, which Uganda’s President Yoweri Museveni termed as not necessary and instead called for dialogue and ideological clarity to be deployed. Mr Museveni intends to expand market frontiers for Uganda’s surplus goods.
Kenya’s Trade Cabinet Secretary Betty Maina and Uganda’s then Trade Minister Amelia Kyambadde met in April in Kampala and agreed that Uganda would export 90,000 tonnes of sugar to Kenya upon verifying the country of origin.
Meanwhile the numbers look promising for Uganda Airlines who earlier this month launched flights to Dubai in the United Arab Emirates. The Airline took its maiden flight to Dubai and announced three flights every week. According to Jennifer Bamuturaki, the company Chief Executive, on the first day, Uganda Airlines flew only 80 passengers but on the second day the 285-seater craft managed 220 passengers. Bamuturaki argues that the route will grow only if they fly frequently. Bamuturaki told journalists that they were seeking to gradually increase the frequency to at least five, from the current three times a week. The airline has a unilateral agreement with Emirates, which allows passengers with Entebbe-Dubai return tickets to use either airline. The agreement also mandates Emirates to sell Uganda Airlines’ to its clients; Uganda Airlines will offer connecting flights to regional destinations where Emirates does not fly.
On the political front, the new opposition party in Uganda, the National Unity Platform went shy to back maverick opposition leader Col (rtd) Dr Kizza Besigye when he last week launched a political pressure group, the People’s Front for Transition (PFT). Besigye has been on the political front line for the last 20 years and had unsuccessfully run for the top office until 2021 when he stepped back for Patrick Amuriat to have a go. With Besigye off the front for presidency, the National Unity Platform made progress and supplanted FDC as the largest opposition party. Pundits have stated that these opposition parties are in a race for who takes the position of number 2 and Besigye’s move has been interpreted as an attempt to reclaim his place. However, the NUP turned down several invitations extended to them to be part of what Dr Beisgye describes as a new push to unseat President Yoweri Museveni. The NUP, led by the flamboyant Robert Kyagulanyi, aka Bobi Wine say they would rather cheer Besigye’s initiative from the sidelines.
